Getting into an accident while driving a rental car creates additional complications beyond typical motor vehicle crashes. Whether you’re renting a car for vacation, business travel, or because your personal vehicle is being repaired, understanding how rental car accidents work can save you thousands of dollars and prevent legal headaches.
Rental car accidents involve multiple insurance layers, complex liability questions, and strict reporting requirements that don’t apply to accidents in your own vehicle. The rental company, your personal auto insurance, credit card coverage, and the rental car insurance you may have purchased all come into play when determining who pays for damages and injuries.
Immediate Steps at the Scene
Your first priority remains the same as any accident – check for injuries and call 911 if anyone needs medical attention. However, rental car accidents require additional documentation beyond standard accident procedures.
Take photos of all vehicles involved, including clear shots of the rental car’s license plate and any rental company decals or identifiers. Document the exact location, road conditions, and any traffic control devices like stop signs or traffic lights. Get contact information from all parties involved and any witnesses who saw the accident occur.
Contact the rental car company immediately, even before leaving the accident scene if possible. Most major rental companies have 24-hour accident reporting hotlines specifically for this purpose. They’ll provide specific instructions about what to do next and may send a representative to the scene.
Insurance Coverage Complications
Rental car insurance coverage operates differently than standard auto insurance. If you declined the rental company’s collision damage waiver, you’re typically responsible for all damage to the rental vehicle, regardless of who caused the accident. This can result in bills for thousands of dollars while you wait for the at-fault driver’s insurance to reimburse you.
Your personal auto insurance may extend to rental cars, but coverage limits and deductibles still apply. Some policies don’t cover rental cars used for business purposes or rentals exceeding a certain number of days. Credit cards often provide rental car coverage as a benefit, but this is usually secondary coverage that only applies after your primary insurance.
We’ve handled cases where clients assumed they had adequate rental car coverage, only to discover gaps that left them personally liable for expensive repairs and loss-of-use charges from the rental company.
Liability and Fault Determination
Determining fault in rental car accidents follows the same legal principles as other motor vehicle crashes, but the rental aspect can complicate matters. Insurance companies sometimes try to shift blame to rental car drivers, suggesting that unfamiliarity with the vehicle contributed to the accident.
As your Ventura, CA car accident lawyer, we investigate whether vehicle mechanical problems, inadequate maintenance, or defects in the rental car contributed to the accident. Rental companies have responsibilities to maintain their fleets properly and provide safe vehicles to customers.
Dealing with Rental Car Companies
Rental car companies often have aggressive collection practices for accident-related damages. They may charge your credit card immediately for estimated repairs, loss of use while the vehicle is out of service, and administrative fees. These charges can appear on your card within days of the accident, long before fault is determined.
The rental company’s interests don’t align with yours if you weren’t at fault for the accident. They want to recover their costs quickly and may not wait for the at-fault driver’s insurance company to accept liability and pay claims.
Common Rental Car Accident Issues
Loss-of-use charges represent one of the most expensive aspects of rental car accidents. Rental companies charge daily rates for each day a damaged vehicle sits in the repair shop, even if they have other available vehicles in their fleet. These charges can quickly exceed the actual repair costs.
Diminished value claims are another concern with rental car accidents. Even after repairs, the rental company may claim the vehicle’s resale value has decreased due to the accident history. They often try to recover these losses from the at-fault party or the renter if coverage gaps exist.
When You’re Not at Fault
If another driver caused the accident, their liability insurance should cover damage to the rental car, your medical expenses, and other losses. However, getting the at-fault insurance company to accept liability and pay claims promptly can take weeks or months.
During this time, you may face collection efforts from the rental car company and see charges accumulating on your credit card. The rental company typically won’t wait for the other insurance company’s investigation to conclude before seeking payment.
Cohen Injury Law Group, P.C. handles rental car accident cases and understands how to deal with both insurance companies and rental car companies to protect our clients’ interests. We work to prevent clients from being stuck with bills that should be paid by at-fault drivers.
If you’ve been injured in a rental car accident or are facing unexpected charges from a rental car company, contact Cohen Injury Law Group, P.C. for a free consultation. We’ll review your case and help you understand your rights and options for recovering compensation and avoiding personal liability for damages that weren’t your fault.